Form a company in Spain
|
Buy an off-the-shelf company
|
Corporate address
|
![]()
What is the difference between a Sociedad Limitada (SL) and a Sociedad Anónima (SA)?
You might choose an SA:
Otherwise, you would choose an SL. Most companies formed are now SLs, and not only for small businesses.
![]()
My company wants to open a branch in Spain. Is this better than creating a new SL?
Creating a branch has similar requirements to VAT registration in Spain. In most cases, it is preferable either to create an SL or to register for VAT. If you plan to have a business address in Spain, creating an SL usually offers more tax advantages than a branch. Comparing branch creation with VAT registration, for the latter you don't have to file the corporate tax in Spain whereas you do for a branch.
![]()
Should I be self-employed or should I form a company?
If you are self-employed and someone files a lawsuit, then you are liable -- your personal assets may be taken from you. If you form a company, then only the assets of the company are at stake. Normally, self-employment is the option when you're just starting out and aren't ready to commit money for company formation and accounting.
![]()
Will creating a company in Spain help me get Spanish residency?
Establishing a company may help, but only if you provide substantial backing capital for the company. We work with an immigration lawyer to coordinate this process.
![]()
Types of Business Entities in Spain
The following chart summarizes the different types of business entities. In most cases, the choice is between Sociedad Limitada and Sociedad Anonima.
| Type | Liability | # of Partners | Backing Capital | Taxation |
|---|---|---|---|---|
Empresario individual (self-employed) |
individual |
1 |
not required |
individual income tax, VAT tax |
Sociedad Limitada (Limited-liability company) |
corporate |
1 to 50 |
minimum 3006€ |
corporate taxation |
Sociedad Anónima (Corporation) |
corporate |
1 or more |
minimum 60,102€ |
corporate taxation |
Sociedad Colectiva (Co-partnership) |
corporate |
2 to 50 |
0 - 250,000€ |
corporate taxation |
Sociedad Cooperativa (Cooperative) |
corporate |
3 or more (if Cooperativa Laboral, 1 must be a Spanish citizen) |
minimum 25,000€ |
corporate taxation |
Sociedad Limitada Laboral (limited partnership) |
corporate |
3 or more (1 must be a Spanish citizen) |
minimum 25,000€ |
corporate taxation |
![]()
-->